Avalanche holders brace for $345 million AVAX token unlock and Durango upgrade


  • Avalanche is set to unlock 9.54 million AVAX tokens on February 22. 
  • Durango upgrade is scheduled for activation on the Fuji Testnet on February 13. 
  • AVAX price recovered slightly, posting 2.33% daily gains on Monday. 

Avalanche network has two major events lined up in February 2024. The first is the activation of the Durango upgrade on a testnet, scheduled for February 13, and the next is the $344.65 million token unlock scheduled for February 22. 

The events are key to AVAX holders since they could influence the token’s price with an impact on the circulating supply of the asset. 

Also read: XRP price trades broadly unchanged leading up to crucial milestone in SEC vs. Ripple lawsuit

Avalanche ecosystem events for February 2024

Avalanche Network pre-released code for an upgrade to the blockchain on February 2. The upgrade will activate on Fuji Testnet at 11 AM ET on Tuesday, February 13. The Durango upgrade is key to the AVAX ecosystem since it focuses on boosting cross-chain communication and improving Avalanche’s scalability. 

The Avalanche Warp Messaging (AWM) feature will improve communication on-chain and across chains, resulting in a more interconnected and resilient network. Users will benefit from the seamless interoperability of protocols on Avalanche. 

The Durango upgrade’s smooth release on the Fuji Testnet paves the way for its mainnet release soon. 

AVAX token unlock

On February 22, Avalanche is set to unlock 9.54 million AVAX worth $345 million. The token unlock represents 2.60% of Avalanche’s circulating supply. AVAX price could suffer a negative impact from the token unlock if the foundation, team and airdrop recipients sell their Avalanche holdings. 

The previous token unlock on November 23, worth $198.47 million, triggered a decline of 9.85% within four days. If history repeats itself, the February 22 unlock could usher a near 10% drop in AVAX price. 

Avalanche price is $35.62 at the time of writing. AVAX price climbed 2.33% on the daily timeframe.
 


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